Richard Thaler

Defaults matter: People stick with the default option more than expected.

Sunk costs are irrelevant, but people can't ignore them.

Framing effects: How you present information changes decisions.

Prospect theory explains why losses hurt more than gains please.

Economists should incorporate psychology into their models.

The hot hand fallacy: We see patterns where none exist.

Choice architecture: Designing environments to promote better choices.

People procrastinate on important decisions like saving for retirement.

Behavioral economics is about understanding human quirks.

The illusion of control makes us overconfident.

Save More Tomorrow: A program to boost savings by committing future self.

Markets are efficient only if people are rational, which they're not.

Anchoring: Initial numbers influence judgments unduly.

We need policies that account for human laziness and biases.

The status quo bias keeps us from changing even when we should.

Happiness economics: Money buys happiness up to a point, then plateaus.

Overconfidence is the most prevalent bias in finance.

Nudges can save lives without mandates.

The representativeness heuristic leads to stereotyping.

Pension plans should auto-enroll to fight inertia.